Senate File 601 establishes the school energy conservation revolving loan program for the purpose of providing financial assistance to districts to make energy improvements in school buildings that reduce greenhouse gas emissions and improve indoor air quality.
The bill directs the Commissioner of Management and Budget to sell and issue general obligation bonds in order to fund the loan account.
Districts apply to the Commissioner of Commerce for a loan under this program. Loans are made on a first-come, first-served basis, and are subject to certain limitations. A loan under this program cannot exceed 50 percent of the total project cost, nor have a repayment term longer than 20 years. Loans must also bear interest at below-market rates.
Districts may include the amount necessary to service the conservation loan in their debt service equalization revenue. A levy under the debt service revenue program does not require voter approval.
By February 1 of every even-numbered year, the Commissioner of Commerce must make a report about the loan program to leaders of legislative committees with jurisdiction over energy policy, education finance, and capital investment.
BA:dv
|